Legal status of e-wallets
- General information about electronic wallets;
- Legal regulation of electronic wallets;
- Who is an EMF operator, what are his rights and obligations?
- What should you do if you have a PayPal e-wallet.
General information about electronic wallets
In recent years, more and more people have started e-wallets and use them for regular payments. There are many reasons for this. Firstly, it is very convenient, because to open a wallet, you just need to register a free account on the website of the payment system or through the application. Having gained access to your personal account, you can immediately accept and send money transfers, pay for purchases in online stores, make any other payments, just like with a bank card. Secondly, many payment systems do not charge commissions for using an electronic wallet and making transactions.
The most popular among Russians are electronic wallets Yandex.Money, Qiwi, Webmoney. PayPal is the most popular among foreign payment systems.
Legal regulation
The legal aspects of using electronic wallets are regulated by the Federal Law "On the National Payment System", which entered into force on June 27, 2011. This law does not contain the concept of "electronic wallet". Instead, lawmakers use the concepts of “EMF” (“electronic money”), “EMF operator” and “electronic means of payment”.
Electronic funds are intended for the fulfillment of the payer's financial obligations to third parties. To do this, the owner of the wallet needs to enter his personal account using his login and password, send the e-money order to the operator for electronic money, after which the operator will transfer money to the recipient's wallet and inform the payer about the execution of the order.
An electronic wallet can be registered anonymously, and this is the fundamental difference between such a tool and a bank card or account that can only be opened with a passport. Anonymity has its pros and cons. The main disadvantage of anonymous wallets is the inability to trace the source of the receipt of funds. This provided an opportunity to use the payment instrument when engaging in illegal activities, including drug trafficking and terrorism. In order to counter the laundering of money obtained by criminal means, from August 3, 2020, a law was introduced prohibiting the anonymous deposit of cash to electronic wallets. Previously, this could be done through payment terminals and salons of mobile operators. Now users need to go through identification and link a bank account with their personal data to the wallet.
Who is an EMF operator, what are his rights and obligations?
According to the current requirements, a bank or a non-bank credit institution that has a license to carry out banking operations can become an EMF operator. To start working on electronic money transfers, the operator must send a notification to the Bank of Russia. Also, the e-money operator is obliged to regularly provide the regulator with reports on transactions that are related to e-money transfers.
The operator establishes the rules for transfers, which regulate the general procedure for the activity, the provision of e-money and services for their transfer to customers, the consideration of claims and other issues that arise when interacting with customers and paying agents.
The EMF operator has the right to engage third-party organizations operating in the Russian Federation to provide operational services in the framework of electronic money transfer. For this, it is necessary to conclude an appropriate agreement.
Also, e-money operators can attract bank payment agents who accept and issue funds to individuals, provide payers with the necessary tools to use electronic wallets, and carry out an identification procedure. Payment aggregators, which are recognized by a bank payment agent, can also be used to identify the owners of electronic wallets.
What should you do if you have an electronic wallet
Tax residents of the Russian Federation who own PayPal electronic wallets and other foreign payment systems are required to submit a report on currency transactions to the tax authorities if the amount of transfers exceeds 600 thousand rubles. If this rule is violated, a fine is provided, the amount of which ranges from 20 to 40% of the amount credited to the wallet during the reporting period.
For legal work on the territory of the Russian Federation, foreign payment services must conclude agreements with Russian partners. This is necessary to counter the laundering of money obtained as a result of illegal activities, as well as restrictions on the use of wallets of foreign payment systems encourage citizens to use the services of domestic e-money operators.
Contacting the A4 Law Firm specialists will help to competently resolve any situation related to the use of electronic wallets in Russian foreign payment systems.
Please also note that not all transactions with e-wallets are permitted from the point of view of currency legislation, therefore, you must first check whether the transactions you are planning or being carried out are permitted. If transactions are not allowed, then a fine from 75 to 100% of the amount of the illegal transaction is threatened.
If you have any questions about the procedure for using e-wallets, our team of lawyers is ready to provide legal support. You can contact us by phone number +7 499 841 0505 or by mail info@a4lawfirm.ru
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